collection agency - help

2 days ago, i received a call from a collection agency. I was utterly shocked. my helper is not new with us - i thought we had an understanding, and she never had this problem before. she is not on min wage. she received xmas bonus, bonuses when we had visitors, bday bonus etc etc. when her sis came over illegally, i gave her money to tie her over. so i am truly speechless. i received another call the following day from someone who claimed to be a friend, but again from a collection agency. i confronted her - she said she was a guarantor for someone. i suspect it is her sister, and now that she went home, they decided not to pay the bill. what can i do to stop these people from calling? in the first place, i never allowed her to use our home phone as a contact for collection agencies. does anyone know what these people will/can do? i have a small child, and now it is killing me since i don't know what these agencies will do. hope i am not over reacting.

she has been ok so far until this incident happened. then she has mood swings. she was rude and nasty to my child - hitting and calling stupid, calling me lazy in front of the child. of course this is a child's word - but deep down, i know my child will never lie to me. i did plan to give her a 1 month bonus for chinese ny - now i am having second thoughts.


ps any feedback will be much appreciated.

How much you pay her and what bonus you give her has nothing to do with her borrowing money. Most of them do without knowing the consequences. You can certainly do what the above posts said. But truthfully most people either fire the DH or pay off the debt for her depending on how much you really need her. In my case, I took a chance and paid everything off for her. Worked out ok. I was in your position once. Can be really annoying and scary.